Kinda seems like an outta the pot and into the frying pan type deal . So you get out of the banks pocket and into the feds . I think they should have just told the banks they screwed up . Gave the people 3 months off there mortgage to catch up and then back to business . Fix the rates . And if the banks fail cause of there stupidity . Give the people the houses . I mean it was shotty business that did this and not the people right?

Originally posted by d11_m_na_c05
Kinda seems like an outta the pot and into the frying pan type deal . So you get out of the banks pocket and into the feds . I think they should have just told the banks they screwed up . Gave the people 3 months off there mortgage to catch up and then back to business . Fix the rates . And if the banks fail cause of there stupidity . Give the people the houses . I mean it was shotty business that did this and not the people right?

Wrong, The people are just as much to blame as the banks. When you are too stupid to know that you can't afford the loan and take it anyway, you are to blame. Why am I and others having to pay for others mistakes? I live with in my means, no credit card debt,payed my house loan off early, drive cheap cars, but my tax money is going to pay off someone else's debt. This country is being destoryed by non-tax paying bums and rich greedy business men. Us working stiffs are being left with the tab.

Even though I don't totally agree with the bailout....I do know there are honest people out there who were maybe mislead,but at the time the procedure fit into the goal of the homeowner.....let me explain.

We bought our house in 2001....30 year fix...we could afford it..we have good jobs and had a little extra money after all the bills were paid.

2005 we refinanced to an 3/ARM..we cashed out the equity and put it all back into the house (siding,windows,roof) all of it. It raised the value of our house. The plan here was in 3 years, before the rate adjusted, we would refinance back to a fixed 15 or 30yr. It made sense because the house was worth more now. When we tried to refinance this year, we couldnt..turned down twice. Why? because the value of the house went down and therefor we didnt have enough equity.

So you see..we weren't being stupid...we had a plan, we just did'nt see this coming, as alot of homeowners didn't.

Good news is...our mortgage company sent us a letter and said they had reviewed our mortgage and modified it to a 30fix and our rate would not adjust...I know we were lucky !

Originally posted by lost in the midwest
[When you are too stupid to know that you can't afford the loan and take it anyway, you are to blame. .... This country is being destoryed by non-tax paying bums and rich greedy business men. Us working stiffs are being left with the tab.

Ok not everyone who is caught up in this is stupid. Not everyone in this mess are non tax paying bums.

When we took out our mortgage 2.5 years ago we had more than enough to make ends meet and get ahead. What we weren't able to foresee was the drastic rise in gas and consumable prices. Now when those hit times started getting tight. We went back to the mortgage companies after a year to refinance (like we were advised). Yes we had an arm. It was our first home, our dreams, our hope.

Well the equity in the home was not there. So the bank refused to refi.
We started feeling the pich because the extra monthly income was being whittled away by the rise in cost of everything else. Well to shorten this so people don't get bore just monthly expenses alone rose over $600, Then the rate adjusted. That rose our monthly expenses by another $500 a month. That started the down ward spiral. You do what you can to get by. Not always being able to think logically because you are panicking. You take out a few payday loans because you are behind on payments and can't get regular loans. Those just kill ya. Now we are facing foreclosure, losing a vehilce and what ever else comes along.

We have tried working with the banks. They say there is nothing they can do. We have tried working with foreclosure assistance programs ($2500) to them to start. They say you need $3000 more and then come up with another $2000-$3000 ion the next 2 weeks and the bank will work with us. Well that $2500 came from the cars( behind on those now). If I had the extra thousands laying around I wouldn't be behind on payments.

My Point is, not everyone caught in this mess is stupid or ignorant. We got caught unaware and unprepared for what the last 2 1/2 years has brought. Now if you can look into your little crystal ball and tell me what it is going to be like 2 1/2 years from now, then I will give you all the credit in the worl. Unfortunately just like everyone else ,we cannot predict the future. So before you go slamming and putting down your fellow citizens and fellow posters here on ATS you may want to look at all sides of the scenario and be cautios with the name calling and labeling. You never know.....2 1/2 years from now you may find yourself in a predicament you didn't see coming and then someone might be labeling you stupid and ignorant. It won't be me. Because I have been there and I will understand. Compassion is a great thing. We are not looking for sympathy. Just understanding and patience.

I love the Orwellian names of these bills. It should really be called the bank and GSE bailout bill at the expense of everyone else. My child is two and her children will probably be paying for this bailout.

I'm tired of the sob stories by folks caught up in this mess. It's down right foolish to take an ARM while rates are at a historic low, they only have one way to go when it comes time for reset, up. Anyone who drank the NAR koolaid of buy now or be priced out forever deserves to be forclosed. The only way for this mess to be solved is for either wages to increase or home prices to drop to an affordable level. How in the hell someone making $8 or $9 an hour believes they are entitled to live in a $500,000 home is beyond me.

But guess what people with this bailout passing rates are going to go up anyway, and guess what happens to home value when rates go up. Hank Paulson, sec of treasury PIGMAN extrardinair, has a blank check now to shore up the GSEs up to the debt limit. I'm really interested to see how the rates on the long bond react to this, as a matter of fact after talking to a couple of senators offices yesterday I bought some long dated puts against an etf that tracks the long bond.

A

I love the Orwellian names of these bills. It should really be called the bank and GSE bailout bill at the expense of everyone else. My child is two and her children will probably be paying for this bailout.

I'm tired of the sob stories by folks caught up in this mess. It's down right foolish to take an ARM while rates are at a historic low, they only have one way to go when it comes time for reset, up. Anyone who drank the NAR koolaid of buy now or be priced out forever deserves to be forclosed. The only way for this mess to be solved is for either wages to increase or home prices to drop to an affordable level. How in the hell someone making $8 or $9 an hour believes they are entitled to live in a $500,000 home is beyond me.

But guess what people with this bailout passing rates are going to go up anyway, and guess what happens to home value when rates go up. Hank Paulson, sec of treasury PIGMAN extrardinair, has a blank check now to shore up the GSEs up to the debt limit. I'm really interested to see how the rates on the long bond react to this, as a matter of fact after talking to a couple of senators offices yesterday I bought some long dated puts against an etf that tracks the long bond.

A

Jefwane;
Mine is not a sob story. It is to let everyone know that some of us in trouble are not your 8-9$ hr waged employee trying to keep a $500k house. My wife and I earn around 60k-70k a year. We bought a $130k house but being first time home owners were told by 3 seperate sources that we could only qualify for an ARM. So to establish our dreams and hopes we took it. Hind sight is 20/20.....

Again not a sob story.....Just a chain of events that start to compile and before you know it..... the dam burts. We are still fighting to keep the house. I am still paying what I can on the mortgage and not just giving up and not paying a dime until the kick me out. I am a fighter. I will pay them every available cent until I have no other choice so I am still trying to get it to work out. Only time will tell what the future holds for all of us.

[edit on 26-7-2008 by iggster]